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Strategy #6: Bad Credit Unwelcome

You have managed to elude those heartless creditors for years.  Why?  They could not find you.  Now, you decide that you want to buy new furniture.  You see an ad for Slick Fred's Bargain Furniture with the caption, "Bad Credit Welcomed."  You rush down to apply for the credit needed to buy the furniture. Slick Fred quickly bursts your bubble when he gives you his rendition of what approved really means: (1) approved only with a co-signer; (2) approved at ridiculously high interest rates; or (3) approved for an amount so low that you need an incredibly high down payment to get the furniture.

Unfortunately, at this point, it does not matter whether you walk away with the cheap, over-priced furniture or not—this is the least of your worries because the damage has already been done. You've awakened the proverbial sleeping "credit" giant! Once your credit was checked, all of your current information was given to the credit bureau and debt collectors who constantly look for updates in your credit file have a fresh new lead on you.  Your years of peace and quiet are down the drain.  Debt collectors are calling and writing again while you sit mumbling regrettably to yourself on that cheap, over priced sofa.

Remember, the plan is to pull yourself together first.  Forget about new credit until you are able to rebuild your finances.  This may include finishing school, starting a new business, or working your way back up the corporate ladder.  Once you have gotten back on track and paid off those old debts, you can legitimately apply for credit to buy quality furniture.  In the meantime, ignore those "bad credit welcomed" signs.   Like momma used to say, "If it sounds too good to be true, then it probably is!"

 Strategy #13: Lie Like A Rug!

Let's just assume that you live on Mars and do not have any of the phone features listed in Strategy #1: Use the Phone or for some unbeknownst reason you get caught on the phone with a debt collector.  What do you do?   Here are a few suggestions: Tell them they have the wrong number. Tell them that you don't live there anymore. Tell them you skipped town and you are looking for you also.  Tell them you are in a self-induced coma.  Heck, use your imagination. 

Here's an example of what such a conversation might sound like:

Why lie?  Well it is totally an individual decision of course, but here are three good reasons: (1) You don't have the money; (2)  You just don't have the money; and the third one is my favorite; (3) you really, honestly just don't have the money! 

They say the truth will set you free, but  a lie can get a debt collector off your back and prevent a headache.

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